2015-06-23 Planning & Organisation Committee Meeting Agenda

PLANNING & ORGANISATION COMMITTEE MEETING AGENDA                                 23 JUNE 2015


Year to date fuel costs of $445,568 equates to 360,479 litres or an average $1.23 per litre.
Council utilises the state government contract fuel arrangement and receives a significant
discount at the pump compared to retail rates.

Plant and Fleet Replacement Program

A 10 year capital replacement program has been developed for Council’s fleet and plant
following a review undertaken in 2014. The review included condition assessments being
undertaken for all plant and vehicles to develop a forward replacement program and ensure
risks associated with safety and cost was mitigated. Ongoing condition assessments are
now being undertaken by the manager and maintenance supervisor, with the forward
replacement program amended as necessary.

The 2014/15 capital budget included $1.74 million for plant and vehicle replacement, and
throughout 2014/15 the fleet manager has been actively managing the program with
flexibility required to address emerging issues.

As at the end of May 2015 $1.46 million of the program has been expended or committed.
The balance of funds will be carried over into the 2015/16 budget to assist with the
changeover of leased vehicles once the current leases expire.



   Quote /
 Specification



     Ordered




    Delivered


                 $-   $200      $400      $600       $800     $1,000
                                                             ($'000)


Plant and Fleet Utilisation

The fleet team is currently collecting utilisation data for each piece of plant via monthly
odometer records. Utilisation is a useful tool to assess if vehicles are achieving expected
usage levels, by comparing usage (km or hours) to an expected annual industry benchmark
for each class of fleet item. Utilisation variances (particularly underutilisation) to the
benchmark can be analysed to determine if they are appropriate based on the specific plant
item or whether the original investment decision was warranted.

Ongoing utilisation assessment will be undertaken as part of Council’s fleet procurement to
determine if individual fleet items are necessary as part of Council’s operations or other
forms of procurement may be more appropriate. Utilisation data will be provided in future
reports as the information becomes more mature.




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